Tuesday, May 19, 2009

Are You Ready for Reverse Globalization?

Nice to see the Globe and Mail giving some space to Jeff Rubin and he new book. I posted on Jeff's new book a few days ago. He is predicting oil at $200+ and is a believer in peak oil theory.

He is also forecasting the reversal of globalization as a result of higher oil prices driving up transportation and other costs. That is an interesting prospect. A highly connected world in terms of technology, politics and the environment but less in terms of trade. China and U.S. relations will be an interesting case study for all kinds of reasons if this reverse globalization happens.

This could mean more focus and growth in local production especially in items like food. Thanks to Michelle Obama there is a vegetable garden on part of the White House lawn that has spawned a return to backyard and community gardens. This may be the early weak signals signs of another enormous economic shift.

It will be all good for Alberta if we get busy and plan for it now and not merely react late in the game as has been the case in the past.